Consolidate Your Student Loans !

Consolidation is an Option to Manage Education Debt

You may be able to reduce your loan debt and lock in a low fixed-interest rate. There are several advantages to consolidating (or refinancing) one or more student loans into a single new loan with a fixed interest rate:

• Consolidation turns a variable-rate loan(s) into a fixed-rate loan. A consolidation loan's fixed interest rate is based on the current interest rates of the loans consolidated. This is an important benefit because of historically low rates on current variable rate student loans. By consolidating now, you will be insulated from future annual interest rate adjustments - and subsequently protected from increases in monthly payments and overall interest expense.

• Consolidation means convenience. There's a single point for customer service and only one single monthly payment to make. So it's easier to keep track of loan debt.

• Consolidation often allows you to lower your monthly payments by extending your payment term beyond the maximum 10-year period.

Borrowers may consolidate loans borrowed through the Direct Loan Program at OSU, as well as previous federal student loans (including Perkins Loans) borrowed through qualifying lenders.

There are no application fees or prepayment penalties with a consolidation loan. And, in certain cases, interest on student loans is tax-deductible. And, there are additional interest rate reductions for borrowers who choose electronic debit payments once they begin repaying their loans.

For more information please see the Consolidation Information Sheet or to apply for a Direct Consolidation Loan, go to the U.S. Department of Education's Consolidation website or call 1-800-557-7392 (TDD 1-800-557-7395).